Kazakhstan VAT e-services

Kazakhstan has implemented VAT on electronic services provided to consumers by non-resident providers commencing 1 January 2021.

Scope of e-services

The State Revenue Committee of Kazakhstan defines the income from the following services as liable to VAT:

  • Online advertising
  • Marketplace listing services for goods or electronic services
  • Advertising services
  • Search engine facilities
  • Storage and processing internet information
  • Offering domain name rights and hosting
  • Sale of computer programs (e.g. SaaS)
  • Internet data and statistics provision
  • Music, images and e-books provided over the internet
  • Services related to IT or internet sites delivered via the internet
  • Saas software and databases
  • E-books and similar digital versions of publications
  • Computer processing, including maintaining statistics

Determining residence of customer

Foreign providers will be required to track and determine if a customer is a Kazakh resident. They may use the following criteria to determine this and the place of supply:

  • Address of the consumer
  • Bank account location
  • IP address of the consumer
  • Telephone country code if purchase via phone

VAT compliance

Non-resident entities are expected to register for VAT from 2021. This will include submitting quarterly VAT returns to declare VAT charged.  There is no facility to recover Kazakh input VAT suffered.

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